How Favorite Sports in China are Reshaping Fashion and Luxury

Sports is the new fashion in China. Yesterday, I had a meeting with 20 franchisees in mainland China. They contacted Reverse Group to find Western brands with a good reputation in China to franchise their brand and get an offline retail store under their own name.

They wanted fashion brands.

And by “fashion” brands, they meant brands selling apparel for:

• Golf
• Tennis
• Yoga

In this fresh newsletter, I wanted to review the history of #sports in China, the favorite sports in China today, and how they are reshaping the Chinese luxury and fashion market. And if you work in a brand specializing in golf, tennis, yoga, or athleisure – drop me a message.

A Historical Sporty Mindset Reinforced by Covid

In China, sports have always played a prominent role.

And its origin goes back to Traditional Chinese Medicine (TCM) and Qi.?

In China, traditional medicine always recommends sports for an optimum flow of the "Qi" in the body.?Overall, traditional Chinese medicine includes acupuncture, tai chi, and herbal products. That’s why it’s very common in Chinese parks like Jingshan Park in Beijing to see elders practicing tai chi or qi gong.

While sports were the prerogative of seniors and older people, it became a common concern for young generations like Gen Z and luxury consumers like HNWI.

After Covid, 67.5% of people above 7 years old participated in fitness and sports activities at least once a week in 2022. The fitness app KEEP reached 100 million users in a few months. The number of fitness clubs, skate rinks, and sports fields surged.

But the main change was the new consideration of health and the immune system. ?

The Importance of Health for HNWI and Luxury Consumers

Even HNWI (High Net Worth Individuals with 1 million dollars in property) changed their priorities to health.

According to the Hakuodo Institute, health is the top priority for 50% of Chinese people. When we talk about HNWI, health became the top priority for 55% of Chinese HNWI. This is the main change to take into account for luxury brands.

In this list of concerns, health is above happiness (29%) and stable life (24%) for Chinese HNWI. In other words, top luxury consumers are also investing in their #health in China. And what is making them healthy is actually more valuable than what makes them happy.

Food for thoughts that helps us to understand the impact of sports on luxury.

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The Direct Impact of Popular Sports on Luxury in China Today

China is a sporty nation.

But do you know what are the most famous sports in China today?

After COVID-19, Chinese netizens turned more and more towards outdoor activities with a direct impact on sports. We see more “niche” sports rising, more outdoor sports, and more activities related to mental health and wellness. A whole new market in the end.

Here are the top 5 favorite sports in China today.

And each of them had a direct impact on luxury and fashion.?

Basketball. This is the most popular sport in China today.?The Chinese market is estimated to have 600 million basketball fans and 300 million basketball players. And its impact on luxury had an example just last week.?The NBA basketball player James Harden discovered the success of basketball among his Chinese fans. Followed by 2 million people on Weibo, he sold 10,000 bottles of his wine brand in five seconds.

Tennis. This is the second most popular sport. In total, there are 30,000 tennis courts all over China both indoor and outdoor. On 小红书 , the searches for "Tennis OOTD" reached 373,510 views, and for "Tennis" reached 1 million views. The success is so big that the Chinese group Anta acquired Wilson Sporting Goods Co. in China. And it acquired it for $5.2 billion USD.

Yoga & Pilates. Yoga and pilates are driven by the wellness and health trend in China. By staying in comfortable and aesthetic outfits all day long, Chinese consumers are now longing for brands following a yoga and pilates universe. The brand lululemon is benefiting from this success. In 2022, the net revenue of the brand reached $8.1 billion USD. Even more, its revenue in mainland China alone "soared by 70% year on year".

Winter Sports. The Winter Olympic Games in Beijing in 2022 accelerated the practice of winter sports in China. After the Olympics, 300 million Chinese people started winter sports. In the meantime, winter sports benefit fashion brands producing down jackets. The sales increased by 3-digit numbers in the past 5 years. The brand Arc'teryx Equipment saw their jacket sold out in a few minutes after President Xi was wearing it for the opening ceremony in Beijing.

Hiking. Following the surge in outdoor activities, hiking became the firm favorite of Chinese people. Combining nature and sports, it turned into the top activity for weekends and holidays. On Xiaohongshu, UGC and PGC related to "camping", "fishing", and "hiking" surged over the last year while the local government expects to reach revenues of $420 billion USD for the outdoor sports sector.

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Health is the new top priority for Chinese consumers and the sports practice is part of their daily life. Luxury and fashion brands must understand the impact of this shift on their product collections, #marketing campaigns, and retail activations. When we talk about experiential stores, people want to move, feel, and exert themselves.

To all CEOs, Marketers, and Product Developers, sports are the new fashion, and your historical link to a specific sport or activity may become your unique selling point to thrive in China.

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TO GO FURTHER

Whether it is to answer a simple question, plan your next strategy in China, or answer press inquiries all around the world:

Contact: Ana?s Bournonville

[email protected] | +33 6 42 58 51 16

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Free Consultation:?If you want to have a meeting together to discuss your brand, your objectives, and your next campaign in China, you can book a free consulting session?HERE

Available Articles and Resources: If you want to read more about the luxury and fashion marketing, you can visit?HERE

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• The Sports Market and Trends in China
• James Harden Live Streaming Success Analysis by Jing Daily
• How Fila Outperforms in China with Anta's Strategic Roadmap